Pentagon Recommends Suspension of MAVNI, Foreign Infiltration

It does not take but just a few to go AWOL or to flee the program to create a domestic national security disaster. Further, was the original vetting and background procedure watered down in recent years such that the vulnerability to this growing security risk manifested?

What the heck is really going on here? Remember in October of 2016 when Reuters reported this?

Forty-four Afghan troops visiting the United States for military training have gone missing in less than two years, presumably in an effort to live and work illegally in America, Pentagon officials said.

Although the number of disappearances is relatively small — some 2,200 Afghan troops have received military training in the United States since 2007 — the incidents raise questions about security and screening procedures for the programs.

There was yet another very similiar AWOL event in 2010 in Texas. 17 involved there.

The MAVNI program was limited to 5,200 people in Fiscal Year 2016. The fact sheet is here.

 

FNC/EXCLUSIVE: Defense Department investigators have discovered “potential security risks” in a Pentagon program that has enrolled more than 10,000 foreign-born individuals into the U.S. armed forces since 2009, Fox News has learned exclusively, with sources on Capitol Hill and at the Pentagon expressing alarm over “foreign infiltration” and enrollees now unaccounted for.

After more than a year of investigation, the Pentagon’s inspector general recently issued a report – its contents still classified but its existence disclosed here for the first time – identifying serious problems with Military Accessions Vital to the National Interest (MAVNI), a DOD program that provides immigrants and non-immigrant aliens with an expedited path to citizenship in exchange for military service.

Defense Department officials said the program is still active but acknowledged that new applications have been suspended.

Created in the final weeks of the Bush-Cheney administration and launched under then-President Barack Obama, MAVNI was designed to recruit individuals with foreign-language and other skills the Pentagon deems useful and in short supply. The program has had many success stories – most notably the Army’s Soldier of the Year in 2012, Sgt. Saral Shrestha, originally of Nepal – and independent analyses have found MAVNI recruits out-perform non-MAVNI soldiers in critical areas.

Yet concern over management of the program has grown over recent months.

“The lack of discipline in implementation of this program has created problems elsewhere,” said Rep. Steve Russell, R-Okla., a retired Army officer who sits on the House Armed Services subcommittee on military personnel. It was Russell who first publicly sounded alarms. During the markup of the latest defense authorization bill, on June 28, Russell noted: “The program has been replete with problems, to include foreign infiltration – so much so that the Department of Defense is seeking to suspend the program due to those concerns.”

Another lawmaker, whose committee does not enjoy jurisdiction over MAVNI – but whose panel could well come to focus on these problems, depending on their severity – told Fox News that the program had been “compromised” and that DOD officials have not presented answers to his questions about missing enrollees: “Where are they? What do they know? Where are they serving? What are their numbers?”

Contacted by Fox News, Army Lt. Col. Paul Haverstick, a Pentagon spokesman, said in a statement: “The Department of Defense is conducting a review of the MAVNI pilot program due to potential security risks associated with the program.” Beyond that, however, Haverstick declined to comment, citing “pending litigation.”

Defense Secretary James Mattis, whom sources said had developed his own concerns about MAVNI, was named as the sole defendant in a lawsuit filed in February by seven foreign-born MAVNI enrollees. The lawsuit alleged that a decision by top brass in September to tighten up access to security clearances issued through MAVNI had had the effect of “crippling their military careers.”

Sources said MAVNI’s problems included a vetting backlog that led to enrollment of many soldiers prior to completion of their background checks, and an attendant “drift” in the program’s criteria, with MAVNI being used as a vehicle for the hiring of workers – like cooks, drivers and mechanics – who did not possess the specialized skills the program was created to exploit.

The title of the inspector general’s classified report – “Evaluation of Military Services’ Compliance with Military Accessions Vital to the National Interest Program Security Reviews and Monitoring Programs” – hints at the problems, with its references to “security reviews” and “monitoring” of enrolled individuals.

Some lawmakers have received classified briefings on the matter. Sources said some of the countries of origin for MAVNI enrollees are “of concern,” but as of yet there is no evidence in the public domain that ISIS, Al Qaeda, or any other terrorist groups have penetrated the MAVNI program. Still, such a development remains an active concern.

“ISIS has always had desire to use migration as way to penetrate into countries,” said retired U.S. Army General Jack Keane, a Fox News military analyst. “They have done that successfully in Europe because of open borders, mass immigration with no vetting. In the U.S., we haven’t had any record of their penetration. And certainly if this program is compromised and there’s a possibility of that kind of penetration, it’s got to be thoroughly investigated.”

Blame Obama and Brennan for Venezuela, Maduro

Some facts on Venezuela under Chavez and now Maduro. When it comes to blame on why the country is in a tailspin and on the way to be a failed state where people are suffering beyond measure, rogue foreign leaders flock together and Obama/Brennan knew this was coming.

VIR

Venezuela is part of SWIFT, the Society for Worldwide Interbank Financial Telecommunications. SWIFT knows precisely all the global transactions into and out of Venezuela including the country’s dealings with Syria, Iran, and Russia.

Related reading: Inside the Hell of Venezuelan Police Prisons

Venezuela has received at least $36 billion in loans from China that have helped finance two economic development funds focused largely on infrastructure projects. Five people in raids that we carried out in Caracas linked to the embezzlement of $84 million from the Chinese Fund and Bandes. Maduro pledged to stop the corruption. Right huh? What about $300 billion?

Oops, there is more: How about the loan for oil program?

Under Chavez, several global oil deals were signed that included India, China and Russia. Under Maduro, the production has failed to meet contractual agreements. Caracas needs the oil to pay debts to China and Russia, key political allies that have together lent Venezuela at least $50 billion in exchange for promised crude and fuel deliveries.

According to Reuters, former ministers Héctor Navarro and Jorge Giordani are accusing government workers of pocketing more than $300 billion in crude oil revenue over the past decade. They are demanding the government account for these funds and investigate into whose hands they went. Navarro has personally requested that “a state ethics council review the operations of the 13-year-old exchange control mechanism that opposition leaders have described as a ‘corruption machine.’”

Another former Chávez minister, Ana Elisa Osorio, petitioned the Republican National Council, a government watchdog group, to investigate the case. “In the last two years, we have found missing $20 billion from the Republic’s funds. This is why we resort here to calling for a meeting of regulators, the treasury, and the national attorney’s office,” Osorio said. More here.

Oh yeah, we cant leave out Goldman Sachs. In 2016, Goldman Sachs confirmed its asset management arm had bought $2.8 billion of another bond issued by Venezuela’s state oil company PDVSA at a steep discount.

SantiagoTimes

So on to some other facts that rogue leaders overlook, including the United States when it comes to heading off the tailspin and eventual failure of a state resulting in disgusting human rights violations.

2011: Iran began building intermediate-range missile launch pads on the Paraguaná Peninsula, and engineers from a construction firm – Khatam al-Anbia – owned by the Revolutionary Guards visited Paraguaná in February. Amir al-Hadschisadeh, the head of the Guard’s Air Force, approved the visit, according to the report. Die Welt cited information from “Western security insiders.”

In 2015: Drug smuggling is thought to be on the rise in Venezuela, with many public officials complicit. According to the BBC, the US has already sanctioned at least 50 whom it accuses of human rights abuses and drug trafficking.

Pressure on the drug trade in neighbouring Colombia appears to have forced many narco-traffickers over the border. While Venezuela does not grow the coca plant or manufacture cocaine, estimates in the US State Department’s annual International Narcotics Control Strategy Reports suggest that between 161 and 212 metric tons of cocaine are shipped from the country each year, although data is scarce.

In its most recent such report, published in March 2015, the US State Department reported that “public corruption is a major problem in Venezuela that makes it easier for drug-trafficking organizations to move and smuggle illegal drugs”. More here.

IBTimes

Related reading: Trump should muster an international rescue of Venezuela

2017: Maduro named Tareck El Aissami as the Vice President.

That means that, in a country of complete and utter chaos — where people are starving, healthcare is nonexistent, electricity is scarce, and vigilante justice is becoming a norm — a suspected terrorist is one heartbeat away from the highest office in the land.

El Aissami is a known entity in the world of US intelligence. He is allegedly a part of Venezuela’s state drug-trafficking network and has ties to Iran, Syria, and Lebanese terrorist group Hezbollah.

Joseph Humire, coauthor of “Iran’s Strategic Penetration in Latin America” and founder of the Center for a Secure Free Society (SFS) think tank, testified to the same effect before the House Committee on Foreign Affairs last year.

Over the years, El Aissami developed a sophisticated, multi-layered financial network that functions as a criminal-terrorist pipeline bringing militant Islamists into Venezuela and surrounding countries, and sending illicit funds and drugs from Latin America to the Middle East.

“His financial network consists of close to 40 front companies that own over 20 properties with cash, vehicles, real estate and other assets sitting in 36 bank accounts spread throughout Venezuela, Panama, Curacao, St. Lucia, Southern Florida and Lebanon. This network became integrated with the larger Ayman Joumaa moneylaundering network that used the Lebanese Canadian Bank to launder hundreds of million of dollars and move multi-ton shipments of cocaine on behalf of Colombian and Mexican drug cartels as well as Hezbollah.

“This immigration scheme is suspected to also be in place in Ecuador, Nicaragua and Bolivia, as well as some Caribbean countries.”

In 2016: A jury in New York found two relatives of Venezuelan President Nicolas Maduro guilty on Friday of attempting to import 800 kilograms of cocaine into the United States. Franqui Francisco Flores de Freitas and Efrain Antonio Campo Flores, both nephews of Maduro’s wife Cilia Flores, were arrested in November 2015 in Haiti in an investigation that saw Drug Enforcement Agency (DEA) informants pose as Mexican traffickers and meet with the nephews. More here.

Further on that case during trial it was revealed that Flores and Campo are the nephews of Cilia Flores, the wife of President Maduro and a politician in her own right. According to trial testimony, they were planning to move cocaine for the Revolutionary Armed Forces of Colombia (FARC) through Venezuela via the president’s private hangar at the Simon Bolivar International Airport in Caracas.

They expected the deal to bring them as much as $11 million, some of which was to be used to help fund Cilia Flores’ re-election campaign.

Qatar Hires DC Lobby Part of the Swamp

At least there is a FARA filing.

Qatar is a hub for harboring terrorists and funding terror organizations. Recently, Gulf States with Saudi Arabia in the lead have isolated Qatar for these exact reasons.

Yesterday, this site published an article about the historical details of Qatar’s relationship with manifesting global terror.

Avenue Strategies was founded by former Trump campaign advisor Corey Lewandowski. The first clients were Citgo and Puerto Rico were among their first clients. He has since left the company, but the placeholder remaining are opportunists that apparently are dismissing the terror facts for money in their own pockets. Citgo is headquartered in Houston, Texas, but is “owned by the leftist government of Venezuela.” Citgo took out a loan from Russian state-owned oil giant, Rosneft in December 2016 that it has been unable to pay. It is under threat of a takeover by Rosneft.

Related reading: Memos: CEO of Russia’s state oil company offered Trump adviser, allies a cut of huge deal if sanctions were lifted

(Not all the items in the dossier were false)

At Avenue Strategies, there are names like Barry Bennett who previously worked for Ben Carson and Rick Perry. Then there is George Birnbaum who worked for Alfonse D’Amato, Charlie Crist and top leaders in Israel. Add in Ed Brookover, who worked for Ben Carson, John Boehner and Michelle Bachmann as well as leaders from various foreign countries. Bud Cummins is the last strategist who worked for Mike Huckabee’s campaign.

As you continue reading, remember, Qatar has a nasty historical connection to terror and has no plan to prosecute terrorists or to stop funding them including Hamas and the Muslim Brotherhood, much less the Taliban. Testimony on the Hill regarding Qatar was hosted on July 27, 2017 and much of that testimony summary is found here.

Additionally, there is pressure and discussions underway where the possibility of moving the U.S. base in Qatar is ongoing.

DUBAI, United Arab Emirates (AP) — Qatar has hired a Washington influence firm founded by President Donald Trump’s former campaign manager and another specialized in digging up dirt on U.S. politicians, signaling it wants to challenge Saudi Arabia’s massive lobbying efforts in America’s capital amid a diplomatic dispute among Arab nations.

The Gulf rift already has seen slogan-plastered taxicabs in London, television attack ads in the U.S. and competing messages flooding the internet and state-linked media on both sides since the crisis began June 5.

Hiring a firm associated with former Trump aide Corey Lewandowski shows Qatar wants access to a White House with close ties to Saudi Arabia.

But matching Saudi Arabia, which scored a diplomatic coup by hosting Trump’s first overseas trip, could be a tough battle for Qatar even if it does boast the world’s highest per-capita income due to its natural gas deposits.

“The Qataris are belatedly working up to the scale of the challenge they face,” said Kristian Coates Ulrichsen, a research fellow at the James A. Baker III Institute for Public Policy at Rice University who lives in Seattle. “This whole crisis, now that it’s kind of settled down into a prolonged confrontation or standoff, it’s become almost a struggle to win the hearts and minds in D.C.”

Qatar, in the midst of building stadiums for the 2022 FIFA World Cup, isn’t afraid to spend its money. Since the crisis began, Qatar paid $2.5 million to the law firm of former U.S. Attorney General John Ashcroft to audit its efforts at stopping terrorism funding, among the allegations levied by the Saudi-led nations.

According to documents newly filed to the U.S. Justice Department, Qatar has hired Avenue Strategies Global for $150,000 a month to “provide research, government relations and strategic consulting services.” The contract also says that activity “may include communications with members of Congress and Congressional staff, executive branch officials, the media and other individuals.”

Lewandowski founded Avenue Strategies just after the November election that put Trump in the White House. Lewandowski resigned from the firm in May, saying he was troubled by a firm-related project he hadn’t sanctioned. Others tied to Avenue Strategies had started a firm of their own, pitching Eastern European clients with promises of access to Trump and high-ranking White House officials.

The firm, which includes a former chief of staff to Israeli Prime Minister Benjamin Netanyahu , did not respond to requests for comment from The Associated Press.

Qatar also signed a three-month, $1.1 million renewable contract with the opposition research firm Information Management Services, according to a Justice Department filing .

The firm, run by Jeff Klueter, a former researcher for the Democratic Congressional Campaign Committee, did not respond to requests for comment. It advertises itself as doing so-called “oppo,” which includes digging into political opponents’ past and comments for incriminating or simply embarrassing material.

Qatar did not respond to a request for comment about the lobbying contracts. But it may serve as recognition that while Qatar has had success in speaking with the State Department and the Pentagon, it needs to make inroads to the Trump White House, Ulrichsen said.

Despite hosting a major U.S. military base, Qatar has been a target of Trump over its alleged funding of extremists, something Doha denies. Saudi Arabia enjoys close relations to Trump, as well as his son-in-law Jared Kushner.

In Washington, Saudi Arabia spends millions of dollars on lobbying, including a most-recent push to oppose a law allowing Sept. 11 victims’ families to sue the ultraconservative Muslim nation in U.S. courts . Its lobbying firms have been putting out memos on Qatar.

Meanwhile, an organization called the Saudi American Public Relation Affairs Committee launched an online campaign called the Qatar Insider highlighting material critical of Doha. The committee also paid $138,000 to air an anti-Qatar attack ad on a local Washington television station, according to the Qatar-funded satellite news network Al-Jazeera.

“Our aim is to show the American people that Qatar has been employing a foreign policy that harms its neighbors and contributes to regional instability,” said Reem Daffa, the executive director of the committee, known by the acronym SAPRAC.

But while Daffa said SAPRAC does no lobbying, it has registered as a lobbying firm with Congress and tweeted a Qatar attack ad at Trump . It also has not filed paperwork with the Justice Department despite the committee being listed as entirely owned by a Saudi national .

The Foreign Agents Registration Act, first put in place over concerns about Nazi propagandists operating in the U.S. ahead of World War II, requires those working on behalf of other countries or their citizens to file regular reports to the Justice Department.

There aren’t similar rules in Britain, though the crisis recently could be seen on the streets of London. Pro-Qatar ads appeared on the city’s famous black taxis, bearing the message: “Lift the Blockade Against the People of Qatar.” Al-Jazeera Arabic even did a story about them.

But whether any of it will sway policy makers remains unclear.

“The prevailing view is that there are no perfect allies,” recently wrote Steven A. Cook, a senior fellow with the Council on Foreign Relations. “So whatever money the Gulf countries are spending in Washington, they should know it is not very well spent.”

 

Rick Perry: Corporate Espionage going by Russia and China

Rick Perry: Russian, Chinese Corporate Espionage ‘Shouldn’t Surprise Anybody’

Russia and China are engaging in underhanded business practices involving American oil and gas companies, according to Energy Secretary Rick Perry.

During an appearance on Fox Business Tuesday morning, Perry said it “shouldn’t surprise anybody that there is corporate espionage going on” in Russia and China, particularly with U.S. companies that are involved in hydraulic fracturing or fracking.

The secretary also addressed a recent column from Fox Business contributor James Freeman, which detailed a congressional investigation into allegations of a Russian effort to undermine and “suppress our domestic oil and gas industry, specifically hydraulic fracking,” according to a statement from House Science Committee Chairman Lamar Smith.

“When you think about Russia and China a lot of the businesses there have direct links back to their government,” Perry said. “So the idea that there are people trying to manipulate, to put propaganda out on a particular type of fuel, that doesn’t surprise me.”

He added that his case highlights the importance of cybersecurity.

“We need to be sophisticated when it comes to how we deal with Russia, how we deal with China,” he said. “Those are our competitors out there and we know that they may play with a different set of rules and we just need to be smart enough to identify.”

***

Rick Perry is more than right.

Primer 2013:

U.S. military operations, the security and the well being of U.S. military personnel, the effectiveness of
equipment, and readiness. China apparently uses these intrusions to fill gaps in its own research
programs, map future targets, gather intelligence on U.S. strategies and plans, enable future military
operations, shorten research and development (R&D) timelines for military technologies, and identify
vulnerabilities in U.S. systems and develop countermeasures.
China’s cyber espionage against U.S. commercial firms poses a significant threat to U.S. business
interests and competiveness in key industries.
General Keith Alexander, Director of the National Security Agency and commander of U.S. Cyber Command, assessed that the financial value of these losses is about $338 billion a year, including intellectual property losses and the down time to respond to penetrations, although not all those losses are to Chinese activity. Chinese entities engaging in cyber and other forms of economic espionage likely conclude that stealing intellectual property and proprietary information is much more cost
effective than investing in lengthy R&D programs.
***

Example/2015: WASHINGTON—Six Chinese citizens, including two professors who trained together at the University of Southern California, stole sensitive wireless technology from U.S. companies and spirited it back to China, the Justice Department charged.

Example/2014: In one of the most notable actions, Dongfan “Greg” Chung, a naturalized American citizen who worked on NASA’s space shuttle program, was convicted in 2009 after investigators found hundreds of thousands of sensitive papers under his California home. Prosecutors said he gave some of the documents to Chinese officials, revealing details of military and space-related technology. Chung, a former Boeing employee, was sentenced to more than 15 years in prison.

***

Chinese Industrial Espionage: Technology Acquisition and Military Modernization provides the most thorough and insightful review to date of the covert and overt mechanisms China uses to acquire foreign technology. Delving into China’s “elaborate, comprehensive system for spotting foreign technologies, acquiring them by every means imaginable and converting them into weapons and competitive goods,” the book concludes that “there is nothing like it in the world.” (2-3) The People’s Republic of China (PRC)  is implementing  “a deliberate, state-sponsored project to circumvent the costs of research, overcome cultural disadvantages and ‘leapfrog’ to the forefront by leveraging the creativity of other nations,” thereby achieving  “the greatest transfer of wealth in history.” (78, 216)

Although PRC espionage is global in scope, the most important target is the United States. Relying primarily on Chinese-language government and non-government sources, the coauthors intend to raise awareness of the threat nationally and alert decisionmakers to the gravity of the problem. Trained as Chinese linguists, with considerable experience dealing with Chinese affairs, they are uniquely qualified for the task. William C. Hannas has a Ph.D. in Asian languages, published two books on Asian orthography and served in various US government posts, including at the Joint Special Operations Command. James Mulvenon is a leading expert on Chinese cyber issues and has published widely on China’s military affairs and communist party-army relations. Senior analyst Anna B. Puglisi studied in Beijing and subsequently was a visiting scholar at Nankai University, where she studied China’s science and technology (S&T) policies and infrastructure development.

Download PDF for complete review. [PDF 264.1KB*]

C’mon White House, NEVER Trust China

Primer: Moscow hired thousands of North Koreans to build the infrastructure for the Sochi Olympics. Russia still uses North Korean slaves for mining and forestry. The North Koreans are hired slaves that have to send their pay checks back the the Kim regime. Not to be outdone, Qatar is doing the same with slaves from the DPRK, as they are hired to build the stadium for the FIFA World Cup Soccer games in 2020.

North Koreans are hired out to foreign corrupt governments to work 20 hours a day with a pay rate of $100 per month (US$) and 70% of that goes back to Pyongyang as a loyalty payment.

By the way, China, Kuwait, Libya, Africa, Oman and several other countries hire the slaves and their living conditions don’t even qualify as slums, they are much worse.

So, while there is much worry about the missile and nuclear program at the hands of North Korea, China is a major culprit in full assistance and cooperation in that regard. Further, China has aided North Korea and other terror regimes in skirting not only United States sanctions, but those from applied by other nations.

Over the last eight years, the Obama administration has hardly taken any aggressive stance with regard to North Korea and consequences except to shut off humanitarian exports to the country. President Trump meanwhile is trusting Russia and China to deal with North Korea? Worse mistake yet.

Deeper dive…

The Global Web That Keeps North Korea Running

Pyongyang’s ties with 164 countries help it amass money and know-how to develop nuclear weapons

WSJ: North Korea may be one of the world’s most isolated countries, but the tightening sanctions regime it has lived under for the past two decades is anything but impermeable.

An examination of North Korea’s global connections reveals that even as it becomes increasingly dependent on China, Pyongyang maintains economic and diplomatic ties with many nations. Those links—from commercial and banking relationships to scientific training, arms sales, monument-building and restaurants—have helped it amass the money and technical know-how to develop nuclear weapons and missiles.

The nature and extent of North Korea’s global ties comes from current and formal officials, researchers, North Korean defectors, U.N. decisions, NGO’s and an analysis of economic statistics.

North Korea: What Comes After the ICBM Test?

In some cases, North Korea leans on old allies, particularly those like Cuba from the former Communist bloc, or those like Syria that are similarly hostile to the U.S. In others, notably in Africa, it has more transactional relationships to supply items such as cheap weaponry or military training. In the Middle East, it supplies laborers for construction work and pockets almost all their earnings.

Sanctions against North Korea haven’t been as broad as those applied to Iran over its nuclear program, nor as rigidly enforced.

David S. Cohen, undersecretary of the Treasury for terrorism and financial intelligence during the Obama administration, wrote in an op-ed in April that “North Korea has gotten off relatively easy, especially as compared with Iran.”

Trying to crack down on North Korean business activities is like a game of Whac-A-Mole. North Korean defectors have detailed how the regime uses front companies to conceal its commercial activities in foreign countries, or adopts business names that obscure their identity by avoiding using North Korea’s full name, thereby benefiting from confusion over whether the entity is North or South Korean.

Pyongyang maintains diplomatic ties with 164 countries and has embassies in 47, according to the National Committee on North Korea, a Washington-based nongovernmental organization, and the Honolulu-based East-West Center.

Although it lags far behind China, India has been North Korea’s second biggest trade partner in the past couple of years, buying commodities including silver and selling it chemicals among other goods. Russia has exported petroleum products to North Korea and imported items such as garments and frozen fish. Last year, North Korea attempted to export military communications equipment to Eritrea via front companies in Malaysia, according to a recent U.N. report.

Most North Koreans abroad are involved in providing funds for the state, defectors say. One of the primary roles of North Korean diplomats is to help develop and maintain cash flows for the regime, according to former embassy officials. North Korea missions typically have to be self-financed to maximize revenue for the state, these people say.

In recent months, under pressure from the Trump administration, there are signs more countries have begun to clamp down on North Korea. In February, Bulgaria had Pyongyang send home two diplomats in its embassy in Sofia, in line with U.N. Security Council resolutions passed in September calling on countries to reduce the number of North Korean diplomats abroad.

Italy this year moved four North Koreans studying at the International Center for Theoretical Physics in Trieste to switch to less-sensitive majors in line with a Security Council resolution calling for member nations not to provide education that could aid Pyongyang’s weapons program.

In March, Senegal said it suspended issuing visas for artisans from North Korea’s Mansudae Art Studio, a state-run organization that has erected monumental sculptures across Africa.

This image, from North Korea's KRT, shows what it said was the launch of a Hwasong-14 intercontinental ballistic missile.

This image, from North Korea’s KRT, shows what it said was the launch of a Hwasong-14 intercontinental ballistic missile. Photo: /Associated Press

More than 50,000 North Korean workers are employed abroad, according to the Asan Institute for Policy Studies, a Seoul-based think tank, many in construction or factory jobs. For these workers, wages are paid directly to North Korean officials, raising hundreds of millions of dollars a year for the state, human-rights groups say.

These ties are under scrutiny as Pyongyang’s success at launching a missile that could reach Alaska is escalating the crisis over its weapons program. This week’s missile test took place on the back of a Chinese truck imported to North Korea for logging purposes, according to analysts.

U.N. sanctions are primarily intended to block North Korea’s illegitimate trade and revenue streams that have a suspected link to its weapons programs. The U.N. doesn’t target all of Pyongyang’s business activities abroad, such as the chain of restaurants it operates in Asia and the Middle East, or its dispatch of laborers.

U.S. sanctions go further in trying to disrupt North Korea’s trade and revenue, including a recent move to block access to the U.S. financial system for a bank in China on which Pyongyang relied. The U.S. has sanctioned North Korean leader Kim Jong Un, a move that would freeze any of his assets in America.

Secretary of State Rex Tillerson on Tuesday called on the global community to stop doing business with Pyongyang.

Video from a North Korean state news bulletin Tuesday was said to show leader Kim Jong Un applauding after the launch.

Video from a North Korean state news bulletin Tuesday was said to show leader Kim Jong Un applauding after the launch. Photo: Yonhap News/Zuma Press

This week, Sen. Cory Gardner (R., Colo.), chairman of the Senate Foreign Relations Committee’s subpanel on East Asia, said he was drafting legislation that he says would create a “global embargo” on North Korea.

“We need to shut off North Korea’s access to oil, to trade, to currency, to financial institutions,” he said in an interview Thursday, calling for “Iran-style” sanctions. “They are far from being ‘sanctioned out.’ They are certainly isolated, but they have to recognize they ain’t seen nothing yet.”

China has had close ties to North Korea since the 1950s when it sent troops to fight U.S.-led forces backing the South in the Korean War.

In 2001, China accounted for around 18% of North Korea’s exports and 20% of its imports, ranking behind Japan on both measures, according to customs figures compiled by Harvard University’s Atlas of Economic Complexity.

Since U.N. sanctions on North Korea were tightened in 2009, Japan and other countries have curtailed commercial ties with Pyongyang, leaving China as by far its biggest trade partner.

For the past five years, China has accounted for more than 80% of North Korea’s imports and exports, providing an economic lifeline even as political relations between Beijing and Pyongyang have deteriorated.

During that period, China has imported mostly industrial raw materials from North Korea, especially coal, but also seafood and clothing such as men’s suits and overcoats.

In recent days, President Donald Trump has expressed frustration with China for expanding trade with North Korea despite U.S. appeals to exert more pressure.

China says it enforces U.N. sanctions and since February it has banned imports of North Korean coal—one of Pyongyang’s main sources of hard currency.

However, U.N. sanctions still allow trade that isn’t deemed to benefit North Korea’s nuclear and missile programs, and China’s customs figures show that its exports to North Korea have increased this year. Crucially, China continues to be North Korea’s biggest source of crude oil, according to diplomats and experts on the region.

Much of North Korea’s trade takes place over the 880-mile land border with China, which is porous and sparsely guarded. Small Chinese and North Korean companies quietly ferry coal, iron ore and other resources over the border, far from checkpoints.

U.N. sanctions introduced in March 2016 banned exports of North Korean iron ore unless they were exclusively for “livelihood purposes”—a loophole China continues to exploit.

While North Korea gained notoriety in the early 2000s for state-backed exports of illegal drugs and counterfeit U.S. dollars, Pyongyang has mostly shifted its strategy to allow private North Korean enterprises to take the lead, with the regime collecting bribes from these enterprises in a primitive system of taxation, says Justin Hastings, a lecturer at the University of Sydney who has researched North Korea’s overseas smuggling networks.

The shift in strategy means that North Korea can outsource some of the risk involved in the trade while continuing to fill its coffers.

“North Korea is not infinitely adaptable, but it’s far more adaptable than people have thought and its ability to adapt to sanctions has not been reached yet,” Mr. Hastings said.

One informal Chinese trader that Mr. Hastings interviewed for a soon-to-be-published academic paper was importing truckloads and boatloads of North Korean iron ore and other minerals across the river into China for resale as recently as a year ago, when the interview took place.